1

2017 and 4Q17 Results March 8, 2018

HIGHLIGHTS

2

36.5% growth in net revenue, reaching R$6.1 billion;

Fleet of 194,279 cars at the end of the period;

Net income of R$563.4 million, representing an increase of 37.6%;

Acquisition and integration of Hertz operations in Brazil.

3

# of cars sold

# of rental days (thousand)– Car Rental

Fleet at end of the period

# of rental days (thousand) – Fleet Rental

94,156 87,508 100,578 127,221 135,578

34,960 36,080 38,388

44,655 44,877 14,015 14,019

12,784

13,514 13,824 143,131 137,607 151,750

185,390 194,279

2016 1Q17 2Q17 3Q17 2017

Franchising Fleet Rental Car Rental

4Q17 OPERATING HIGHLIGHTS

+48.2% 4Q/4Q

+22.2% 4Q/4Q

+25.0% 4Q/4Q

+35.4% +13.5%

+32.3% +51,148 cars

4

Net revenues (R$ million)

Net income (R$ million) EBIT (R$ million)

EBITDA (R$ million)

*Adjusted by the one-time cost incurred - Hertz Brasil acquisition and Franchisees incorporation

21.5

52.5 74.0

4Q17 FINANCIAL HIGHLIGHTS

One-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

21.5

52.5 74.0 16.3

41.5 57.7

+37.6%

+29.4% +36.5%

+35.3%

+38.6% 4Q/4Q

+42.6% 4Q/4Q

+55.3% 4Q/4Q

+67.1% 4Q/4Q

CAR RENTAL

1,163.5 1,284.4 1,258.0 1,428.0 1,848.5

398.0 575.0

2013 2014 2015 2016 2017 4Q16 4Q17

Number of daily rentals (thousand)

48.2% GROWTH IN 4Q17 VOLUME

14,241.7 15,416.0 15,566.1 18,662.4

25,263.6

5,265.8 7,802.3

2013 2014 2015 2016 2017 4Q16 4Q17

Net revenues (R$ million)

5

6

84.6 79.7

75.2 78.6

74.0

2015 2016 2017 4Q16 4Q17

75.4% 78.0% 78.6%

76.1% 78.5%

2015 2016 2017 4Q16 4Q17

CAR RENTAL

Average daily rental rate – in R$ Utilization rate

DYNAMIC PRICING MANAGEMENT STIMULATED DEMAND

CAR RENTAL NETWORK EVOLUTION

Number of car rental locations Brazil and abroad

286 304 320 333 384

193 172 174 158 133 63 64 70 70 71

542 540 564 561 588

2013 2014 2015 2016 2017

Localiza's branches - Brazil Franchisees' branches - Brazil Franchisees' branches - abroad

+51

51 CORPORATE LOCATIONS WERE ADDED TO THE NETWORK IN 2017

7

FLEET RENTAL Number of daily rentals (thousand)

22.2% GROWTH IN 4Q17 VOLUMES

8

575.9 571.9 608.5 651.8 742.1

170.5 204.0

2013 2014 2015 2016 2017 4Q16 4Q17

10,843.7 10,363.3 10,900.9 11,240.0 12,752.7

2,921.6 3,569.2

2013 2014 2015 2016 2017 4Q16 4Q17

Net revenues (R$ million)

NET INVESTMENT Fleet expansion (reduction)* (quantity)

GROWTH OF 52,860 CARS IN 2017’S FLEET

9

Net investment in fleet (R$ million) Cars purchased Cars sold * It does not consider theft / crashed cars. Hertz Brasil

Purchases (includes accessories) Used car sales net revenues Hertz Brasil

69,744 79,804 64,032

87,833

143,414

27,921 35,143

62,641 70,621 64,305 68,449 90,554

20,883 26,103

2013 2014 2015 2016 2017 4Q16 4Q17

7,103 9,183 (273)

19,384

88,619

1,935

135,252

8,162

7,038

52,860

9,040

2,026.2 2,483.2 2,278.4

3,289.6

5,754.4

1,078.0 1,437.8 1,747.3 2,018.2 2,044.9 2,342.6

3,451.2

733.0 1,026.5

2013 2014 2015 2016 2017 4Q16 4Q17

465.0 278.9 233.5

947.0

61.9 5.,467.9

286.5

3,389.3 345.0

2,303.2

411.3

1,668

52.9

10

NUMBER OF POINTS OF SALE

74 75 77 84 99 62,641

70,621 64,305 68,449

90,554

-50,000

-30,000

-10,000

10,0 00

30,0 00

50,0 00

70,0 00

90,0 00

110 ,000

-10

10

30

50

70

90

110

130

150

2013 2014 2015 2016 2017

Points of sale Cars sold

15 NEW STORES TO MEET THE INCREASE IN CAR SALES FOR FLEET RENEWAL

11

END OF PERIOD FLEET

194,279 CARS AS OF 12/31/2017

INCREASE OF 41,422 CARS IN THE RENT A CAR DIVISION WITH INCREASING UTILIZATION RATE

(Quantity)

70,717 77,573 76,755 94,156 135,578

32,809 34,312 33,948 34,960

44,877

14,233 13,339 13,992 14,015

13,824

117,759 125,224 124,695 143,131

194,279

2013 2014 2015 2016 2017

Aluguel de Carros Fleet Rental Franchising

+9,917

+41,422

12

CONSOLIDATED NET REVENUES (R$ million)

38.6% INCREASE IN CONSOLIDATED REVENUES IN 4Q17

1,758.9 1,874.0 1,883.1 2,096.8 2,607.1 572.7 783.1

1,747.3 2,018.2 2,044.9 2,342.5 3,451.2

733.3 1,026.5

3,506.2 3,892.2 3,928.0 4,439.3

6,058.3

1,306.0 1,809.6

2013 2014 2015 2016 2017 4Q16 4Q17

Rental Used car sales

13

CONSOLIDATED EBITDA (R$ million)

(*) It considers the new appropriation criteria of the overhead, which is also appropriated to Seminovos. (**) Adjusted by the one-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

Divisions 2013 2014* 2015 2016 2017 4Q16 4Q17

Car Rental 36.8% 38.7% 31.8% 32.3% 34.9%** 31.5% 36.6%**

Fleet Rental 65.5% 60.0% 62.2% 64.5% 61.9%** 63.8% 59.8%**

Rental Consolidated 46.5% 45.3% 41.7% 42.3% 42.6%** 40.8% 42.7%**

Used Car Sales 5.7% 6.0% 7.3% 5.5% 5.9% 5.0% 5.1%

EBITDA margin:

916.5 969.8 934.8 1,015.6

1,314.2

270.9 386.3

2013 2014 2015 2016 2017 Adjusted 4Q16 4Q17 AdjustedOne-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

74.0

GAINS OF SCALE PUSHED THE RECURRING RAC MARGIN

52.5

14

AVERAGE ANNUAL DEPRECIATION PER CAR (In R$)

1,452.4 1,270.0 622.1

1,251.2 1,250.1 1,573.9 1,021.6

2013 2014 2015 2016 2017 4Q16 annualized 4Q17 Annualized

4,592.3 4,202.1 3,935.2 3,714.0 3,104.3 3,364.2 3,102.1

2013 2014 2015 2016 2017 4Q16 Annualized 4Q17 Annualized

Fleet Rental

Car Rental

SALES EFFICIENCY AND CAR PRICE INCREASES CONTRIBUTED FOR LOWER DEPRECIATION

15

CONSOLIDATED EBIT (R$ million)

652.1 726.7 735.5 771.1 1,043.1

202.0 313.7

2013 2014 2015 2016 2017 Adjusted 4Q16 4Q17 Adjusted

Divisions 2013 2014 2015 2016 2017 4Q16 4Q17

Car Rental 32.8% 36.2% 34.3% 30.2% 35.5%* 28.4% 37.2%*

Fleet Rental 45.1% 44.3% 48.9% 51.2% 51.4%* 52.4% 48.1%*

Consolidated 37.1% 38.8% 39.1% 36.8% 40.0%* 35.3% 40.1%*

74.0

One-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

(*) Adjusted by the one-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

R$1 BILLION OF RECURRING EBIT IN 2017

52.5

16

CONSOLIDATED NET INCOME (R$ million)

384.3 410.6 402.4 409.3

563.4

104.4 174.5

2013 2014 2015 2016 2017 Adjusted 4Q16 4Q17 Adjusted

Reconciliation EBITDA x Net income 2013 2014 2015 2016 2017* Var. R$ Var. % 4Q16 4Q17* Var. R$ Var. %

Consolidated EBITDA 916.5 969.8 934.8 1,015.6 1,314.2 298.6 29.4% 270.9 386.3 115.4 42.6% Cars depreciation (229.0) (207.4) (163.6) (206.3) (232.0) (25.7) 12.5% (59.5) (61.8) (2.3) 3.9%

Other property depreciation and amortization (35.4) (35.7) (35.7) (38.2) (39.1) (0.9) 2.4% (9.4) (10.8) (1.4) 14.9% EBIT 652.1 726.7 735.5 771.1 1,043.1 272.0 35.3% 202.0 313.7 111.7 55.3% Financial expenses, net (110.6) (151.1) (202.7) (243.5) (315.0) (71.5) 29.4% (72.7) (93.6) (20.9) 28.7% Income tax and social contribution (157.2) (165.0) (130.4) (118.3) (164.7) (46.4) 39.2% (24.9) (45.6) (20.7) 83.1% Net income of the period 384.3 410.6 402.4 409.3 563.4 154.1 37.6% 104.4 174.5 70.1 67.1%

57.7

One-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation, after taxes

(*)Adjusted by the one-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

RECOR NET INCOME FOR THE 4 CONSECUTIVE QUARTERS

41.5

17

FREE CASH FLOW

Cash

generated by

rental

operations

882,5

Capex - fleet

renewal

(209,7)

Increase in

accounts

payable to

car suppliers

247,8

Capex other

(48,8)

Free cash

flow, net of

fleet renewal

capex

871,8

Capex - fleet

growth

(1.639,3)

Hertz Brasil

acquisition -

fleet

(286,5)

Hertz Brasil

acquisition

(Except Fleet)

(46,7)

One-time

costs

(74,0)

New

headquarters

(126,2)

Free cash

flow before

interest

(1.300,9)

(90,554 cars) (44,698 cars) (8,162 cars)

R$871.8 MILLION OF CASH GENERATION BEFORE GROWTH

R$1.9 billion investment

FREE CASH FLOW

18

Free cash flow - R$ million 2013 2014 2015 2016 2017

Ope

ratio

ns

EBITDA 916.5 969.8 934.8 1,015.6 1,314.2*

Used car sale revenue, net from taxes (1,747.3) (2,018.2) (2,044.9) (2,342.5) (3,451.2)

Depreciated cost of cars sold 1,543.8 1,777.0 1,769.1 2,102.5 3,106.6

(-) Income tax and social contribution (108.5) (113.1) (110.7) (93.3) (108.3)

Change in working capital 2.9 (27.1) (30.0) 113.2 21.2

Cash generated by rental operations 607.4 588.4 518.3 795.5 882.5

Cape

x - r

enew

al Used car sale revenue, net from taxes 1,747.3 2,018.2 2,036.3 2,342.5 3,451.2

Fleet renewal investment (1,819.7) (2,197.7) (2,278.4) (2,563.6) (3,660.9)

Change in accounts payable to car suppliers – renewal (**) 144.3 120.0 (75.4) 174.1 247.8

Net investment for fleet renewal 71.9 (59.5) (317.5) (47.0) 38.1

Fleet renewal – quantity 62,641 70,621 64,032 68,449 90,554

Investment, property and intangible (47.5) (46.3) (29.7) (42.2) (48.8)

Free cash flow from operations, before growth 631.8 482.6 171.1 706.3 871.8

Cape

x -

Gro

wth

Fleet growth investment (209.4) (286.8) 8.6 (726.0) (1,807.0)

Change in accounts payable to car suppliers – growth (**) (54.6) 214.4 (45.8) 16.6 167.7

Hertz Brazil acquisition - fleet (286.5)

Fleet growth capex (264.0) (72.4) (37.2) (709.4) (1,925.8)

Fleet increase / (reduction) – quantity 7,103 9,183 (273) 19,384 52,860

Free cash flow after growth, and before interest and new HQ 367.8 410.2 133.9 (3.1) (1,054.0)

Cape

x -

non-

recu

rrin

g Hertz Acquisition (Except fleet) - - - - (46.7)

Incurred one-time costs effect - - - - (74.0)

New headquarters construction and furniture (6.5) (148.3) (30.7) (84.4) (126.2)

Free cash flow before interest 361.3 261.9 103.2 (87.5) (1,300.9)

(*) Adjusted by one-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation (**) This quarter, we adjusted the cash flow to distribute the change in accounts payable to car suppliers account between renewal capex and fleet growth.

In the free cash flow, short-term financial assets were considered as cash equivalents since they have immediately liquidity.

19

Net debt

12/31/2016Free cash

flow, before

growth

interest

(315.0)

Capex -

Growth

(1,639.3)

Hertz Brasil

acquisition -

fleet

(286.5)

Hertz Brasil

acquisition

(Except

fleet)

(46.7)

Incurred

one-time

costs

(74.0)

New

headquarters

(126.2)

Treasury

shares sold

2.1

IOC paid

(166.9)

Net debt

12/31/2017

(3,864.7)

(2,084.0)

871.8

NET DEBT INCREASE DUE TO R$1.9 BILLION INVESTMENT IN FLEET

R$1.9 billion investment

CHANGE IN NET DEBT (R$ million)

20

DEBT MATURITY PROFILE (PRINCIPAL) (R$ million)

2,613.9

471.7 721.7

1,422.0

672.5 934.5 934.5 1,158.1

108.1

Cash andfinancial assets

2018 2019 2020 2021 2022 2023 2024 2025

2,615.4

As of December 31, 2017

COMFORTABLE DEBT PROFILE AND CASH TO SUPPORT GROWTH

2,613.9 365.1 608.7

1,426.3

678.1 943.5 946.8 1,173.1

411.6

123.3

Cash andfinancial assets

2018 2019 2020 2021 2022 2023 2024 2025 - 2037

Real estate receivables certificate and early redemption of the 6th issuance

2,400.1

Proforma after Real Estate Receivables Certificate issuance and early redemption of the 6th issuance in February, 2018

2,737.2

21

DEBT RATIOS

COMFORTABLE DEBT PROFILE DESPITE THE STRONG GROWTH

NET DEBT VERSUS FLEET VALUE

BALANCE AT THE END OF PERIOD 2013 2014 2015 2016 2017

Net debt / Fleet value 48% 40% 44% 45% 55%

Net debt / EBITDA 1.5x 1.4x 1.7x 2.1x 2.9x

Net debt / Equity 1.0x 0.8x 0.8x 0.9x 1.5x

EBITDA / Net financial expenses 8.3x 6.4x 4.6x 4.2x 4.2x

1,332.8 1,322.3 1,588.6 2,084.0

3,864.7 2,797.9 3,296.3 3,642.7

4,623.6

7,038.7

2013 2014 2015 2016 2017

Net debt Fleet value

(R$ million)

22

ROIC VERSUS COST OF DEBT AFTER TAXES

FOCUS ON VALUE CREATION TO SHAREHOLDERS

16.7% 17.8% 17.0%

15.4% 15.6%

6.0% 8.0%

9.5% 10.2%

7.6%

2013 2014 2015 2016 2017

ROIC Cost of debt after taxes

9.8p.p. 10.7p.p. 7.5p.p. 5.2p.p. 8.0p.p.

ROIC considered each year´s effective income tax and social contribution rate

*

(*)Adjusted by the one-time costs incurred - Hertz Brasil acquisition and Franchisees incorporation

23

Thank You!

The material presented is a presentation of general background information about LOCALIZA as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. This presentation contains statements that are not guarantees of future performance. Investors are cautioned that any such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the operations and business environments of LOCALIZA and its subsidiaries that may cause the actual results of the companies to be materially different from any future results expressed or implied in such forward-looking statements. Although LOCALIZA believes that the expectations and assumptions reflected in the forward-looking statements are reasonable based on information currently available to LOCALIZA’s management, LOCALIZA cannot guarantee future results or events. LOCALIZA expressly disclaims a duty to update any of the forward-looking statement. This presentation does not constitute an offer, invitation or solicitation of an offer to subscribe to or purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever.

www.localiza.com/ri Email: ri@localiza.com Tel: 55 31 3247-7024

Disclaimer

ONE TIME COSTS 4Q17

24

4Q17 financial results were adjusted to exclude the impact of one-time costs resulting from the acquisition of Hertz´s operations in Brazil (R$48.0 million) and the integration of 3 franchised locations (R$4.5 million):

In 2017, the total adjustments for the extraordinary expenses related to the acquisition of the Hertz´s operations in Brazil was R$56.8 million (R$53.4 million in the Car Rental division and R$3.4 million in Fleet Rental), and R$ 17.2 million referring to Localiza franchisees.

R$ million

ONE-TIME COSTS3Q17

Incurred4Q17

Incurred2017Total

RAC costs:

Hertz: rebrand, structure and networking reduction (2.1) (36.4) (38.5)

Franchise integration (12.7) (4.5) (17.2)

RAC - Total Costs (14.8) (40.9) (55.7)

Fleet Rental costs:

Hertz: structure and networking reduction - (0.3) (0.3)

Fleet Rental total costs 0.0 (0.3) (0.3)

SG&A:

Hertz: rebrand, structure and RAC networking reduction (6.7) (8.2) (14.9)

Hertz: rebrand, structure and Fleet Rental networking reduction - (3.1) (3.1)

Total SG&A (6.7) (11.3) (18.0)Total One-time Costs (21.5) (52.5) (74.0)

R$ million

RESULTADO CONSOLIDADO4Q17

consolidated One-off4Q17

Ajusted

Total net revenues 1,809.6 - 1,809.6Total costs and SG&A (1,475.8) 52.5 (1,423.3)EBITDA 333.8 52.5 386.3Depreciation (72.6) - (72.6)EBIT 261.2 52.5 313.7Financial expenses, net (93.6) - (93.6)Income tax and social contribution (34.6) (11.0) (45.6)Net income 133.0 41.5 174.5